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Yandex.Taxi hires lenders to work on IPO: Reuters
Posted on Friday, 22 November 2019 09:55
Russian taxi-hailing platform Yandex.Taxi is following in the footsteps of larger global rivals Uber and Lyft and is working on an initial public offering (IPO) for 2020, Reuters reported, citing three banking sources.
According to these insiders, the group has appointed Morgan Stanley, Goldman Sachs and VTB Capital to underwrite the stock market flotation, expected to take place in the first half of next year.
However, it is not clear at this time if more lenders will be hired to work on the listing, the sources cautioned.
Russian internet company Yandex and Uber combined their taxi businesses in the country, Armenia, Azerbaijan, Belarus, Georgia and Kazakhstan in 2018 to create Yandex.Taxi.
The former controls 59.3 per cent of the business, while the US-based ride hailing platform holds 36.6 per cent, with certain members of staff owning the remaining 4.1 per cent interest.
Executives at the company have previously said if an IPO takes place, both Moscow and New York will be considered.
Yandex.Taxi operates in 17 countries worldwide and completed 1.00 billion passenger rides at the end of September 2018.
In the nine months to 30th September 2019, the group generated revenue of RUB 26.10 billion (USD 409.12 million), a 112.4 per cent increase from RUB 12.29 billion in the corresponding period of 2018.
Adjusted earnings before interest, taxes, depreciation and amortisation totalled RUB 477.00 million in Q1-3 2019, compared to a loss of RUB 4.31 billion in Q1-3 2018.
In similar fashion to other industry peers, the group launched Yandex.Eats in February 2018 with orders growing ten times and reaching 1.00 million by December last year.
Uber Technologies raised USD 8.10 billion in its stock market debut in May this year, while Lyft brought in proceeds of USD 2.34 billion in March 2019.
These two deals were the largest of 55 IPOs within the software publishing sector announced worldwide in 2019 to date, according to Zephyr, the M&A database published by Bureau van Dijk.
© Zephus Ltd